LOAN FEATURES

DISCLOSURES

1Closing Cost Credit: PenFed will pay most closing costs associated with a fixed equity which includes: credit report, flood certification, settlement/closing, property ownership and encumbrances search, recording, city/county taxes, state taxes, property search and quick close. If an appraisal is required, the cost will be paid by the member, who is responsible for the fee whether or not the loan closes. The member is responsible for notary fees. Should this loan be paid off or closed within 24 months from the anniversary date of the loan closing, the member will be obligated to pay PenFed the full amount of the total closing cost for the loan. Other terms and conditions apply; call 1-800-970-7766 extension 6400 for details.

Interest may be tax deductible, consult a tax advisor for further information regarding the tax deductibility of interest and charges.

Appraisals: An appraisal is required for all applications with a loan to value (LTV) over 80%. For applications with a LTV of 80% or less, PenFed will attempt to establish value via an independent method. If that method is unsuccessful, an appraisal will be required regardless of LTV. An appraisal is required in the following circumstances:

For any loan amount if the loan to value ratio (LTV) is greater than 80%; or

For all fixed term equity loans with a loan amount greater than $250,000.

If an appraisal is required it must be ordered by PenFed. You will be contacted for authorization and payment prior to ordering. Appraisal fees average $350 to $525 (some run higher).

Property in First Lien Position: Fixed equity products are not offered on properties that reflect Penfed in first lien position.

Property Insurance: Property insurance is required.

PenFed Mortgage Aggregate:If PenFed holds the 1st mortgage plus any equity loans or lines of credit on the same collateral and the new loan exceeds $750,000 maximum combined loan-to-value (CLTV) ratio is 80% CLTV in all states.

Multiple Loans: Multiple equity loans and ELOCs are available as long as the member and collateral qualify (except Texas). The total indebtedness cannot exceed $400,000 for all equity and ELOCs combined.

PenFed does not lend on:

Mobile homes

Co-ops or time-shares

Properties that are currently listed on the market for sale

Commercial property or property used for commercial purposes, even if a residence is part of the property

Undeveloped property (land only)

Properties with more than 4 units.

Properties that are currently under major construction/renovations. Property must be fully livable, with no safety issues. (examples: no missing rails from stairs/decks, no open walls with wires showing, missing kitchen appliances/counters, missing bath fixtures or unfinished pool)

In Texas, the maximum owner occupied LTV allowed is 80% and non-owner occupied is LTV 75%. Additional restrictions apply in Texas, so please ask a representative for details.

In states other than Texas, the maximum owner occupied LTV is 90% and non-owner occupied LTV is 80%.

The maximum LTV for a condominium in all states is 80%.

Rates are higher for non-owner occupied properties. Other terms and conditions may apply. Call 800-970-7766 extension 6400 to talk to a representative for details.

Minimum Loan Amount Requirements in all States:

For an owner occupied property the minimum loan amount is $10,000 and the maximum amount is $400,000 with an LTV of 85% or less of the fair market value and a maximum of $100,000 with an LTV 85.01 to 90.00%.

For a non-owner occupied property the minimum loan amount is $10,000 and the maximum amount is $400,000 with an LTV up to 80% of the fair market value.

Call 800-970-7766, Extension 6400 for complete details.

All rates and offers are as of December 2016 and subject to change without notice. To receive advertised product you must become a member of PenFed by opening a share (savings) account.

We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.

Home Equity Loan

WHAT IS A HOME EQUITY LOAN?

This loan allows you to borrow based on the value of your home, minus the amount you still owe on your mortgage. It is a single lump sum loan for a set amount.

WHEN IS IT IDEAL?

Home equity loans are great for short-term, fixed expenses, like home renovations, vacations, or debt consolidation.

WANT TOKNOW MORE?

WHAT IS A HOME EQUITY LINE OF CREDIT?

This line of credit is based on the value of your home, minus the amount you owe on it and allows you to use the equity in your home as needed. Although you qualify for a set line amount you’ll only repay on the amount used.

WHEN IS IT IDEAL?

A home equity line of credit is perfect when you want flexibility. A revolving line of credit gives you access to funds as you need them for the things you need, like college bills, home projects, or consolidating debt.

WANT TOKNOW MORE?

WHAT IS A 5/5 HOME EQUITY LINE OF CREDIT?

This line of credit allows you to lock in your rate for the first 5 years, and can only adjust by 2% every five years not to exceed 5% over the life of the loan.

WHEN IS IT IDEAL?

If you have recurring expenses that will last five years or less, this line of credit allows you to lock into a low rate. If you plan to pay the loan off in full within the five years, this option can save you money.

WANT TOKNOW MORE?

Find out if a 5/5 Home Equity Line of Credit is the right choice for you.

WHAT IS AN INTEREST-ONLY HOME EQUITY LINE OF CREDIT?

This line of credit gives you the lowest possible monthly payment. Your minimum monthly payment only includes the interest on the money you borrowed, rather than the principle plus the interest. At the end of the loan term any outstanding balance is due.

WHEN IS IT IDEAL?

Interest-only loans can provide flexibility in your payment plan if you need to maximize your equity with low monthly payments or want to focus on a strict budget.

WANT TOKNOW MORE?

Find out if an Interest-Only Home Equity Line of Credit is the right choice for you.

WANT TOKNOW MORE?

WHAT IS A HOME EQUITY LINE OF CREDIT?

This line of credit is also based on the value of your home, minus the amount you owe on it and allows you to use the equity in your home as needed. Although you qualify for a set line amount you’ll only repay on the amount used.

WHEN IS IT IDEAL?

A home equity line of credit is perfect for consolidating recurring loan payments, such as college bills and high interest credit cards.

WANT TOKNOW MORE?

WHAT IS A 5/5 HOME EQUITY LINE OF CREDIT?

This equity line of credit has an interest rate that has the potential to adjust every 5 years.

WHEN IS IT IDEAL?

If you have recurring expenses that will last five years or less, this line of credit allows you to lock into a low rate. If you plan to pay the loan off in full within the five years, this option can save you money.

WANT TOKNOW MORE?

Find out if a 5/5 Home Equity Line of Credit is the right choice for you.

WHAT IS AN INTEREST-ONLY HOME EQUITY LINE OF CREDIT?

This is a line of credit where your minimum monthly payment only includes the interest on the money you borrowed, rather than the principal plus the interest. At the end of the loan term any outstanding balance is due.

WHEN IS IT IDEAL?

Interest-only loans can provide flexibility in your payment plan if you need to maximize your equity with low monthly payments or want to focus on a strict budget.

WANT TOKNOW MORE?

Find out if an Interest-Only Home Equity Line of Credit is the right choice for you.

Estimated Market Value of Property

$

Mortgage Balance

$

Loan to Value Factors *

Requested Loan Amount

$

Term of Loan

Years

Your Interest Rate

Monthly Payment

* In Texas, the maximum owner occupied LTV allowed is 80% and non-owner occupied is LTV 75%. Additional restrictions apply in Texas, so please ask a representative for details. In states other than Texas, the maximum owner occupied LTV is 90% and non-owner occupied LTV is 80%. The maximum LTV for a condominium in all states is 70%.

Members: Open an ESA

If you have a Coverdell ESA with PenFed and would like to open an ESA Certificate, please call a member service representative at 1-800-247-5626.

Not Yet a PenFed Member?

Become a member and take advantage of products and exclusive offers!

To join, you need only fulfill two requirements:

Determine your eligibility

Open a Regular Share Account with at least $5

Defender Card Eligibility

In order to apply for the PenFed Defender Card at least one applicant
must be in an active military service status, a member of the Reserves or National
Guard, or an honorably discharged US military veteran.

Are you or your co-borrower one of the following?

Honorably discharged US Military Veteran

Please indicate your date of separation (mm/dd/yyyy):
/
/

Active in US Military

Please list your current unit:

Member of the National Guard

Please list your current unit:

Member of the Reserves

Please list your current unit:

None of the above

Card Application

We're sorry, but you're not eligible for this credit card. Please select another card option.